Indonesia has the potential to become a global electric vehicle supply chain hub

Indonesia has the potential to become a global electric vehicle supply chain hub




 Deputy Chairman of the Mineral and Coal Downstream Committee of the Indonesian Chamber of Commerce and Industry Djoko Widayatno said that Indonesia's mineral wealth such as nickel could be a major weapon amidst global geopolitical conditions.

"Indonesian nickel can be a strategic weapon in global clean energy geopolitics," said Djoko in his statement.

tensions and uncertainty in the global supply chain, Indonesia is considered to have great potential to take on a strategic role in the electric vehicle ( EV ) industry.

He said the effort was supported by the entry of several global companies that invested in the development of the nickel industry and its derivatives in Indonesia in recent years.

"Indonesia can open up opportunities for cooperation with various strategic partners such as the US, China, South Korea, Japan, and Europe. For example, Indonesia has established cooperation with Tesla, BYD, LG Energy Solution and CATL," he said.

The escalating tariff war between the United States and China has many countries and global manufacturers starting to look for alternative, more stable and neutral supply and production locations.With its advantageous geographical position, wealth of critical mineral resources and non-aligned stance in global conflicts, Indonesia is increasingly being considered as a potential partner in building a safe and sustainable EV supply chain.

However, the opportunity needs to be followed up immediately by accelerating the downstreaming of all strategic minerals. Not only nickel, but also copper and aluminum to complete the domestic battery and electric vehicle industry chain as a whole.

This acceleration step will strengthen Indonesia's bargaining power in the eyes of global investors, while also strengthening Indonesia's position not only as a supplier of raw materials, but as a manufacturing, research, and distribution center for EV components for the Asian region and even the world.

The government has initiated this direction through downstream policies and the development of green industrial areas. However, consistency and acceleration of implementation are key to securing Indonesia's strategic role amidst changes in the global supply chain map.

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